Source Match Business News
By Wayne Cole SYDNEY (Reuters) - Asian share markets eked out gains on Thursday as dovish comments from the head of the U.S. Federal Reserve combined with an upbeat economic assessment from the central bank to lift Wall Street for a third straight session. However, disappointing results from Google and IBM knocked their shares lower after the bell and could crimp technology stocks in the region. Indeed, the tech and telecoms sectors in Japan's Nikkei were in the red on Thursday, nudging the overall index down 0.2 percent following a 3 percent jump the previous session. Other markets fared better with shares in Australia up 0.5 percent and MSCI's broadest index of Asia-Pacific shares outside Japan adding 0.33 percent.
Co-authored with Arthur Phillips, research associate at the Center for Economic and Policy Research. Directorships, 2008 - 2012: 5* Total director compensation, 2008 - 2012: $3,626,109** Average annual director compensation, 2008 - 2012: $725,222 Average compensation per full year of service as director: $244,276 *Zedillo was a director of the Electronic Data Systems Corporation from October 2007 to August 2008; however, compensation for his service in 2008 is not available and therefore not included in the above calculations. ...
By Alexei Oreskovic SAN FRANCISCO (Reuters) - Google Inc's first-quarter revenue fell short of Wall Street targets and margins narrowed as the price of its ads continued to decline, underscoring the challenges Internet companies face as the world shifts toward mobile devices. Shares of Google were down 3 percent to $539.80 in afterhours trading on Wednesday, after initially sliding roughly 6 percent on the news. The number of "paid clicks" by consumers on Google's ads increased by 26 percent in the first quarter, disappointing some analysts who had hoped for stronger volume growth. And the average "cost per click" declined 9 percent, extending a downward trend as mobile advertising, typically cheaper than traditional online ads, make up a bigger slice of its business.
Bank of America Corp's financial crisis hangover is lasting longer than expected, leading some investors to wonder if the massive litigation expenses being incurred have become a recurring cost of doing business instead of being dismissed as one-time items. The bank on Wednesday posted $6 billion of litigation costs for its first quarter, far exceeding the $3.7 billion of settlement costs that investors had previously known about. Since the 2008-2009 financial crisis, Bank of America has announced some $50 billion of settlements, before taxes. Litigation expenses in four of the five quarters since the start of 2013 have exceeded $1 billion.
Fiat Chrysler Automobiles will announce an agreement by the end of April to allow production of Jeep models in China, the head of the Jeep brand, Mike Manley, said on Wednesday. He said if not in time for Beijing, the announcement would "come before the end of the month." Fiat Chrysler would produce the Jeep models at a plant it operates with its Chinese joint-venture partner, Guangzhou Automobile Group Co . The plant is in Changsha, capital of the Hunan province, where Fiat produces the Viaggio. Fiat Chrysler has not officially said which Jeep product would be the first to be made at Changsha, but it has strongly hinted it would be the Cherokee, which was introduced in the United States about a year ago.
IBM Corp reported its lowest quarterly revenue in five years on Wednesday as the company struggles with falling demand for its storage and server products. Revenue from the hardware business, which includes servers and systems storage, plunged 23 percent to $2.4 billion. IBM has been restructuring its business, with job reductions and the sale of its low-end server business to Chinese PC maker Lenovo Group Ltd for $2.3 billion in January, in efforts to achieve its targeted operating earnings of $20 per share by 2015. IBM warned that its hardware business may continue to face hurdles.
American Express Co's quarterly profit beat analysts' average estimate as a tighter control on expenses helped make up for slower growth in consumer spending in its key U.S. market. However, Chief Financial Officer Jeff Campbell said on a post-earnings conference call that the business had grown through the second half of the quarter as the weather improved. For a graphic on the company's U.S. billed business growth over the past four years, click (http://link.reuters.com/dyx58v) American Express, which issues its own cards unlike rivals such as Visa Inc and Mastercard Inc , benefits from its largely affluent customers' consistent spending and low default rates. The company's focus on affluent consumers should help drive growth as such customers in the United States spend 6 times more on their cards, Janney Capital Markets analyst Sameer Gokhale wrote in a note in February.
GM has said it is protected from liability for claims related to incidents that occurred before it exited bankruptcy in 2009, and has taken steps to raise those issues with the court by filing motions to stay recall-related lawsuits while it asks that bankruptcy court to clarify the extent of that protection. In a filing with the U.S. District Court for the Southern District of Texas on Tuesday, GM asked for a stay on litigation related to ignition claims until a judicial panel on multidistrict litigation decides on a motion to consolidate the case with other lawsuits and the bankruptcy court rules on whether the claims violate GM's 2009 bankruptcy sale order. The company earlier filed a similar motion with the U.S. District Court for the Northern District of California seeking a stay on pending litigation. The defect has been linked to the deaths of at least 13 people and the recall of 2.6 million GM vehicles.
By Ryan Vlastelica NEW YORK (Reuters) - Stocks rose 1 percent on Wednesday, advancing for a third straight session as Federal Reserve Chair Janet Yellen reaffirmed the central bank's commitment to keeping interest rates low and Yahoo rallied. Data showing Chinese economic growth exceeded expectations and U.S. industrial production rose for a second straight month also improved sentiment, though Bank of America and CSX Corp sold off following their results. Yellen, speaking in New York, reaffirmed the Fed's commitment to keep interest rates low, even after ending its bond-buying program, as long as inflation remains below target and unemployment elevated. "These comments, while nothing out of the ordinary, reiterated the Fed's commitment to accommodative monetary policy, which is helping investors remember that there are more tailwinds than headwinds in the economy," said Kristina Hooper, head of U.S. capital markets research and strategy at Allianz Global Investors in New York.
Besides looking forward to taking a much needed vacation -- if you're lucky enough to schedule one this year -- you should be thinking about how your business can capitalize in what for many companies is a slow season. In fact, the following planning tools can be utilized by any business with a slow season.
By Jonathan Spicer NEW YORK (Reuters) - Persistently low inflation poses a more immediate threat to the U.S. economy than rising prices, Federal Reserve Chair Janet Yellen said on Wednesday, stressing that the U.S. central bank would be delivering policy stimulus for some time to come. In her second public speech since taking the Fed's helm, Yellen was careful not to predict when interest rates would rise from near zero. Instead, she stressed the decision would hinge on healing in the labor market and on how briskly inflation rises toward the Fed's 2 percent goal. Yellen's relatively staid remarks to the Economic Club of New York intensified somewhat when Martin Feldstein, a Harvard University professor and former adviser to President Ronald Reagan, asked her whether she would let inflation creep above 2 percent to give the economy a bit more support.
A pregnant worker has filed a lawsuit challenging Pier 1 Imports' policies toward expectant mothers, saying the home-goods retailer forced her to take unpaid leave due to her pregnancy. In her suit filed in California state court on Wednesday, Kimberly Erin Caselman argues that the company's practice of providing pregnant workers with eight weeks of light duty and then placing them on leave runs afoul of state discrimination laws. Caselman told HuffPost that she could have kept performing her job with a few small accommodations. ...
Living in America has taught Matt Taibbi that we as a society have "a profound hatred of the weak and the poor." That's one claim the former Rolling Stone writer makes in his new book, "The Divide: American Injustice in the Age of the Wealth Gap." Taibbi defended this statement in a HuffPost Live interview on Tuesday. "Any American understands that there's this tremendous pressure to succeed and we think about people, for instance, who are on the welfare system and we think of them without compassion," he told host Alyona Minkovski. "We think of them as unsympathetic characters because
By Lucia Mutikani WASHINGTON (Reuters) - U.S. industrial production rose at a faster-than-expected clip in March, the latest sign the economy was gaining momentum. Groundbreaking for new homes also increased but remained well below the post-recession peak hit in November, signaling the drag the housing market is placing on the economy. "We are still on track for very strong second-quarter growth." Output at the nation's factories, mines and utilities rose 0.7 percent last month after an upwardly revised gain of 1.2 percent in February, the Federal Reserve said on Wednesday. The increase in industrial production, which beat economists' expectations for a 0.5 percent gain, reflected in part a 0.5 percent rise in manufacturing output.